As is well-known, a vast amount of currency, or "paper money," is in circulation in the United States and in most, of not all, foreign countries. This currency is subject to wear through constant handling, and its replacement is a matter of substantial expense. The degree of wear which is acceptable before replacement is required may vary substantially, depending upon a number of factors such as the funds available to governments for replacement of currency and the type of use to which the currency is put. A present trend, particularly in highly industrialized countries, is to provide for dispensing of a substantial amount of currency through mechanical devices, such as automated teller machines, teller assist machines and currency counters, which have come into widespread usage. In such mechanical dispensing devices, it may be found that old, worn, limp currency, which might otherwise be suitable for further circulation, cannot be used, primarily because of its limpness or because of heavily-creased folds in the currency.
Substantial savings would be realized if currency which has been used could be economically reconditioned for further use, instead of having to be destroyed and replaced by new currency. This is especially true in the case of bills which are not actually torn, but which are merely limp or folded. Banks and other institutions receiving currency could realize savings by avoiding the expense andinconvenience of transporting used currency to government facilities for destruction, with associated necessary security precautions during the transportation, if said currency could instead be reconditioned at the site of the institution for further use. Similarly, the Federal Government could realize economies if at least some of the currency whch is returned to it could be reconditioned, rather than having to be destroyed, with the associated expense of printing new currency to replace that which was destroyed. These savings may become increasingly significant as inflationary factors increase both the cost of producing new money, and the total amount of money in circulation.